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DECREE

DETAILING THE IMPLEMEN-TATION OF THE ORDINANCE ON THE PROTECTION OF CONSUMERS INTERESTS

THE GOVERNMENT

Pursuant to the December 25, 2001 Law on Organization of the Government;

Pursuant to April 27, 1999 Ordinance No. 13/1999/PL-UBTVQH10, on the Protection of Consumers Interests;

At the proposal of the Minister of Industry and Trade,

DECREES:

Chapter 1

GENERAL PROVISIONS

Article 1. Governing scope

This Decree details the implementation of the Ordinance on the Protection of Consumers Interests regarding responsibilities of organizations and individuals trading in goods and/or services: organizations protecting consumers interests, the settlement of consumers complaints and denunciations; and state management of the protection of consumers interests.

Article 2. Subjects of application

This Decree applies to the following organizations and individuals:

1. Consumers:

2. Organizations and individuals trading in goods and)or services:

3. Organizations protecting consumers interests;

4. State agencies in charge of the protection of consumers interests;

5. Other agencies and organizations involved in the protection of consumers interests according to this Decree and relevant provisions of law.

Article 3. Interpretation of terms

In this Decree, the terms below are construed as follows:

1. Organizations and individuals trading in goods and)or services means organizations and individuals that undertake one or several stages of the investment process, from production to consumption of goods or supply of services in the market for profit-making purposes, including organizations and individuals importing, exporting and distributing goods and/or services.

2. Consumers complaint" means that consumers, who deem that their lawful rights and interests are infringed upon, ask organizations or individuals trading in goods and)or services to handle their requests related to goods and)or services supplied by the latter.

Article 4. Basic principles on the protection of consumers interests

Protection of consumers interests complies with the following basic principles:

1. All lawful rights and interests of consumers must be respected and protected in accordance with law.

2. All acts in violation of consumers lawful rights and interests must be handled promptly and stringently and, in case of damage, compensation must be paid in accordance with law.

3. Protecting consumers interests is the common responsibility of the entire society.

Article 5. Prohibited acts of organizations and individuals trading in goods and/or services

Organizations and individuals trading in goods and)or services are prohibited from taking one of the following acts:

1. Setting out rules contrary to law, putting pressure on consumers through sale or service rules.

2. Delaying or prolonging the performance of their civil liabilities for violation of consumers interests.

3. Other prohibited acts prescribed by law.

Chapter 2

RESPONSIBILITIES OF ORGANIZATIONS AND INDIVIDUALS TRADING IN GOODS AND)OR SERVICES

Article 6. Responsibility to supply prompt and accurate information

1. Organizations and individuals trading in goods and/or services shall:

a) Provide consumers with prompt, truthful and accurate information on goods and)or services they supply;

b) Label goods adequately in accordance with law;

c) Post up goods and)or service prices at their business places;

d) Supply documents guiding consumers on the use of goods and services:

e) Observe all invoice and voucher regulations in accordance with law and hand goods and service sale invoices to consumers.

2. To prohibit all acts of advertising, commercially promoting, exhibiting or introducing products, and other acts which confuse consumers about goods and/or services.

Article 7. Responsibility to ensure standards, measurement and quality

1. Organizations and individuals trading in goods and/or services shall ensure standards and quality of goods and services according to commitments or agreements with consumers and ensure the measurement of goods and services in accordance with the measurement law.

2. In case the law provides that goods or services are subject to announcement and registration of standards and quality, to announcement or certification of standard or regulation conformity, organizations and individuals trading in those goods and/or services shall conduct the announcement, certification or registration in accordance with law and take responsibility for ensuring that those goods and services are conformable with the announced or registered standards or technical regulations.

3. If producing or trading in goods and/or services not subject to announcement of standards and quality, organizations and individuals trading in those goods and/or services shall comply with legal provisions on quality, hygiene and safety, and relevant laws.

4. Organizations and individuals trading in goods and)or services shall regularly check goods and services to ensure their compliance with standards, measurement and quality according to Clauses 1, 2 and 3 of this Article before supplying them to consumers; promptly take remedies to handle, and announce on the mass media, goods or services circulating on market but failing to satisfy standard, measurement and quality requirements.

5. In addition to the responsibilities specified in Clauses 1, 2, 3 and 4 of this Article, organizations and individuals trading in goods and/or services shall fulfill other responsibilities according to the law on standards, measurement and quality of goods and services.

Article 8. Warranty responsibility

1. Organizations and individuals trading in goods and)or services shall:

a) Fulfill the obligation of providing warranty for goods and services they supply according to agreements or relevant provisions of law;

b) Announce warranty conditions, durations, places and procedures before circulating goods and services on market;

c) Explaining to consumers the announced warranty conditions, durations, places and procedures and supply papers related to the warranty of those goods and services.

2. Use instructions and papers related to the warranty of goods and services prescribed in Clause 1 of this Article must be written in Vietnamese and comply with relevant provisions of law.

Article 9. Responsibility to ensure safety for consumers

1. Organizations and individuals trading in goods and)or services shall ensure safety for consumers using their goods and services; provide consumers with adequate guidance on product safety information; and observe all legal provisions on product safety assurance.

2. For goods and services the use of which threaten to affect human health, life, property or the environment, organizations and individuals trading in those goods and services shall warn consumers of those threats: explicitly explain and guide the use of goods as well as measures to prevent possible harms.

3. If consumers still suffer health, life or property damage even though they have properly followed the use instructions on goods or services provided by organizations and individuals fading in those goods or services, those organizations and individuals shall immediately take preventive measures and pay compensation to consumers.

Article 10. Responsibility to settle consumers complaints

1. Organizations and individuals trading in goods and)or services shall expeditiously and promptly settle all consumers complaints on goods or services they supply; formulate and post up consumer complaint-settlement procedures at their business places.

2. Consumers complaints shall be settled under the provisions of Chapter IV of this Decree and relevant provisions of law.

Chapter 3

ORGANIZATIONS PROTECTING CONSUMERS INTERESTS

Article 11. Organizations protecting consumers interests

1. Organization protecting consumers interests is a social organization of consumers set up on the basis of voluntariness and equality, regardless of nationality, religion, qualification and occupation, and representing consumers to protect their interests in accordance with law.

2. The establishment of organizations protecting consumers interests complies with related legal provisions on the establishment of social organizations.

Article 12. Operation principles of organizations protecting consumers interests

Protection of consumer interests by organizations protecting consumers interests must comply with the following basic principles:

1. All activities of organizations protecting consumers interests must aim at supporting or representing consumers to protect their lawful rights and interests in accordance with law.

2. Activities of organizations protecting consumers interests must be for non-profit purposes.

3. Other principles under related law on activities of social organizations.

Article 73. Rights and obligations of organizations protecting consumers interests

1. In the protection of consumers interests, organizations protecting consumers interests have the following rights:

a) To receive consumers complaints and organize conciliation between consumers and organizations and individuals trading in goods and)or services;

b) To represent consumers to complain with organizations and individuals trading in goods and)or services; to lodge denunciations with competent state agencies; to initiate lawsuits when authorized by consumers;

c) To conduct activities associated with state-assigned tasks and receive support funds from the slate budget according to Article 14 of this Decree;

d) To contribute opinions to state management agencies on laws, undertakings, policies, orientations, plans and measures on die protection of consumers" interests;

e) Other rights provided for by law and their charters.

2. In the protection of consumers interests, organizations protecting consumers interests have the following obligations:

a) To guide and assist consumers upon request;

b) To observe the operation principles prescribed in Article 12 of this Decree;

c) To ensure objectivity and equality in the process of representing consumers;

d) Other obligations as prescribed by law and their charters.

Article 14. Implementation of activities associated with state-assigned tasks

1. Organizations protecting consumers interests may be assigned by a competent authority defined in Clause 2 of this Article to implement one or several activities associated with state-assigned tasks specified in Clauses 2, 4, 5 and 6, Article 18 of the Ordinance on the Protection on Consumers Interests.

2. Competence to implement one or several activities associated with state-assigned tasks is provided as follows:

a) The Prime Minister shall decide on assigning central organizations protecting consumers interests to carry out activities associated with state-assigned tasks;

b) Presidents of provincial/municipal Peoples Committees (below referred to as provincial-level Peoples Committees) decide on assigning provincial/municipal organizations protecting consumers interests under their management to carry out activities associated with state-assigned tasks.

3. When implementing activities associated with state-assigned tasks on the protection of consumers interests, organizations protecting consumers interests will be wholly or partially supported with state budget funds for the performance of assigned tasks in accordance with the state budget law.

Chapter 4

SETTLEMENT OF CONSUMERS COMPLAINTS AND DENUNCIATIONS

Article 15. Complained organizations and individuals

When detecting that their lawful rights and interests are infringed upon, consumers or their lawful representatives may lodge complaints with the following organizations and individuals:

1. Organizations and individuals trading in goods and/or services that have sold or provided services.

2. Other organizations and individuals responsible for goods or services as prescribed by law.

Article 16. Forms of com plaint

Unless the form of complaint is otherwise prescribed by law, consumers may complain in any form.

Article 17. Statute of limitations for complaint

Unless otherwise prescribed by law, the statute of limitations for consumers complaint is 6 months after they notify the organizations or individuals trading in goods and)or services of the fact that their lawful rights and interests are infringed upon by those organizations or individuals.

Article 18. Receipt and settlement of complaints

1. When receiving consumers complaints, organizations and individuals trading in goods and)or services shall issue complaint receipt slips to consumers and settle die complaints. Complaint receipt slips may be in written or electronic form and must state clearly contents of consumers complaints, their requests for complaint settlement and specific time limit for complaint settlement.

2. In case complaints mentioned in Clause 1 of this Article are settled immediately after consumers lodge complaints and agreement reached with consumers, organizations and individuals trading in goods and)or services need not issue complaint receipt slips.

3. Unless otherwise provided for by law and except for cases specified in Clause 4 of this Article or if involved parties have reached an agreement on the complaint settlement time limit, organizations and individuals trading in goods and)or services shall settle consumers complaints within 7 working days after receiving their complaints.

4. If complained objects are goods or services which affect consumers health and life or in other urgent cases, consumers complaints must be settled within 3 working days after their receipt.

5. Consumers complaints must be settled on the basis of the principles of promptness, timeliness and assurance of consumers lawful rights and interests. Results of complaint settlement must be notified in writing or otherwise as accepted to consumers.

Article 19. Settlement of consumers complaints through conciliation procedures at state management agencies

1. Procedures for conciliation at state management agencies prescribed in Clause 2 of this Article apply to the following cases:

a) When consumers and organizations and individuals trading in goods and/or services agree on conciliation at competent state agencies;

b) Consumers request state management agencies to conciliate when organizations and individuals trading in goods and)or services do not settle their complaints within the time limit prescribed in Clauses 3 and 4, Article 18 of this Decree or consumers disagree with results of complaint settlement by organizations and individuals trading in goods and)or services.

2. The conciliation competence is provided as follows:

a) Provincial/municipal Services of Industry and Trade shall assist presidents of provincial/ municipal Peoples Committees in settling complaints of consumers within localities under their management:

b) The Competition Administration Department shall assist the Minister of Industry and Trade in conducting conciliation for settlement of consumers complaints if deeming that the complaints are complicated and related to different branches and domains on a wide scope.

3. Procedures for handling a conciliation request prescribed in Clause 1 of this Article are conducted as follows:

a) Conciliation request must be made in writing, stating the case subject to the complaint, the process of settlement of the complaint and specific request for conciliation;

b) Upon receipt of a conciliation request, the competent conciliation agency shall consider the case in order to organize conciliation;

c) Conciliation shall be conducted on the principle of non-publicity. Involved parties may themselves participate or nominate lawful representatives to participate in the conciliation:

d) Parties to conciliation shall make a conciliation minutes to be certified by the conciliation agency.

4. In the course of conciliation, the conciliation agency has the following powers and responsibilities:

a) To request parties related to the complaint to attend the conciliation;

b) To request involved parties to supply necessary information:

c) To certify the conciliation minutes:

d) To keep secret information in the conciliation process.

5. In the conciliation process, consumers and organizations and individuals trading in goods and)or services have the following responsibilities:

a) To participate in the conciliation at the request of the conciliation agency;

b) To supply necessary information related to the complaint at the request of the conciliation agency;

c) To abide by agreements in the successful conciliation minutes.

Article 20. Responsibilities of state management agencies in the process of settlement of consumers complaints

In the process of settlement of consumers complaints, state management agencies shall:

1. Guide consumers in making complaints in accordance with law.

2. Inspect, supervise organizations and individuals trading in goods and)or services in complaint settlement.

3. Conduct conciliation according to their competence provided for in Article 19 of this Decree.

Article 21. Consumers right to withdraw complaints

Consumers may withdraw their complaints at any time in the complaint settlement process. Withdrawal of complaints must be effected in writing.

Article 22. Settlement of consumers denunciations

1. Competent state agencies prescribed by the law on denunciations shall receive and settle consumers denunciations.

2. The order and procedures for settlement of consumers denunciations comply with legal provisions on denunciations and this Decree.

Article 23. Consumers right to initiate lawsuits

1. In any case, at any time in the complaint settlement process, consumers may initiate lawsuits at a competent court in order to request the protection of their lawful rights and interests in accordance with law.

2. The order and procedures for lawsuit initiation at courts comply with the law on legal proceedings.

Chapter 5

STATE MANAGEMENT OF THE PROTECTION OF CONSUMERS INTERESTS

Section 1

RESPONSIBILITIES FOR STATE MANAGEMENT OF CONSUMERS INTERESTS

Article 24. Responsibilities of state management agencies for the protection of consumers interests

1. The Ministry of Industry and Trade shall take responsibility before the Government for performing the unified state management of the protection of consumers interests nationwide. The Ministry of Industry and Trade has the following specific tasks and powers:

a) To organize study and formulation of master plans and plans for programs and projects to be submitted to competent authorities for approval; draft legal documents to be submitted to competent state agencies for promulgation and organize their implementation;

b) To coordinate with concerned agencies in organizing propagation and dissemination of and education about the law on the protection of consumers interests;

c) To direct and guide provincial/municipal Services of Industry and Trade in protecting consumers interests in localities;

d) To assume the prime responsibility for, and coordinate with concerned agencies and organizations in, inspecting and supervising the observance of the law on the protection of consumers interests according to this Decree and relevant law;

e) To receive consumers denunciations and settle them according to its competence or request competent state agencies to settle them in accordance with law;

f) To receive and handle conciliation requests according to this Decree;

g) To handle violations of the law on the protection of consumers interests according to competence;

h) To carry out activities on international cooperation on the protection of consumers interests according to its competence;

i) To perform other tasks and exercise other powers in accordance with law.

2. The Competition Administration Department shall assist the Minister of Industry and Trade in performing the state management of the protection of consumers interests strictly according to this Decree and relevant provisions of law.

Article 25. Responsibilities for state management of the protection of consumers interests in localities

1. Provincial-level Peoples Committees shall perform the state management of the protection of consumers interests in localities under their management. They have the following specific tasks and powers:

a) To direct and urge oxrganizations and individuals to implement legal provisions on the protection of consumers interests in the areas under their management;

b) To coordinate with concerned agencies in conducting propagation, dissemination of and education about the law on the protection of consumers interests;

c) To assume the prime responsibility for, and coordinate with concerned agencies and organizations in, inspecting and supervising the observance of law on the protection of consumers interests according to this Decree and relevant laws;

d) To receive consumers denunciations and settle them according to their competence or request competent state agencies to settle them in accordance with law;

e) To receive and handle conciliation requests according to this Decree:

f) To handle violations of law on the protection of consumers interests according to their competence:

g) To perform other tasks and exercise other powers in accordance with law.

2. Provincial/municipal Industry and Trade Services are specialized bodies responsible for advising and assisting provincial-level Peoples Committee presidents in performing the state management of the protection of consumers interests in provinces in accordance with this Decree and relevant provisions of law.

Article 26. Ministries, ministerial-level agencies and government-attached agencies responsibilities in the protection of consumers interests

1. Ministries, ministerial-level agencies and government-attached agencies shall, within the ambit of their functions, tasks and powers, coordinate with state management agencies in charge of the protection of consumers interests in performing the following tasks and exercising the following powers:

a) To elaborate and submit to the Government for promulgation or to promulgate according to their competence legal documents on the protection of consumers interests in branches or domains under their management:

b) To direct, inspect and supervise the implementation of legal provisions on the protection of consumers interests in the branches and domains under their management;

c) To inspect and supervise or join state management agencies in charge of the protection of consumers interests in inspecting and supervising organizations and individuals trading in goods and)or services in the observance of the law on the protection of consumers interests;

d) To settle denunciations and handle violations of the law on the protection of consumers interests according to competence;

e) To propagate, educate and disseminate knowledge and law on the protection of consumers interests in branches and domains under their management;

f) To perform other tasks and exercise other powers in accordance with law.

2. Apart from the responsibilities specified in Clause 1 of this Article, the Government assigns the following specific responsibilities to ministries, ministerial-level agencies and government-attached agencies which are closely related to the work of the protection of consumers interests:

a) The Ministry of Health shall manage, supervise and inspect pharmaceuticals, pharmaceutical materials, medical equipment and instruments and cosmetics which directly affect human health and the quality of fresh and raw or industrially processed foods;

b) The Ministry of Construction shall manage, supervise and inspect all stages, from planning, design, construction to take-over test of civil construction works;

c) The Ministry of Transport shall manage, supervise and inspect the quality of waterway, land, railway and air means of transport, train stations, airports, seaports as well as equipment used together with means of transport so as to ensure safety for consumers in transport services or in the use of those means or equipment in case consumers buy them;

d) The Ministry of Culture, Sports and Tourism shall assume the prime responsibility for. and coordinate with the Ministry of Industry and Trade and specialized ministries in, managing, supervising and inspecting activities of propagating and providing information on or advertising goods, cultural products and services on the mass media;

e) The Ministry of Agriculture and Rural Development shall manage, supervise and inspect the quality of fertilizers, veterinary drugs, plant protection drugs, plant varieties, animal breeds and bio-products in service of cultivation and husbandry, and animal feeds; assume the prime responsibility for, and coordinate with concerned ministries and branches in. managing, supervising and inspecting the quality of aquatic animal and plant species, aquatic animal feeds, aquatic animal and plant protection drugs, fishing nets and services;

f) The Ministry of Information and Communication shall manage, supervise and inspect the quality and prices of post and delivery services; telecommunications and internet as well as transmission for broadcast; radio frequencies; press and publication activities according to law;

g) The Ministry of Science and Technology shall uniformly manage, supervise and inspect scientific and technological activities, standards, measurement and quality of products, goods and intellectual property according to law;

h) The Ministry of Education and Training shall study and compile curricula and teaching materials on consumer protection: study and submit to the Government plans on including consumer protection issues into educational programs of the national education system;

i) The Vietnam Television and the Voice of Vietnam Radio shall regularly update and publish information on consumer protection; reserve appropriate broadcast time amounts for propagating issues related to the consumer protection law.

Section 2

INSPECTION, EXAMINATION, AND HANDLING OF VIOLATIONS

Article 27. Inspection of the protection of consumers interests

Inspection in the domain of the protection of consumers interests shall be conducted in accordance with the inspection law and relevant laws.

Article 28. Cases of examination of the protection of consumers interests

Competent examination agencies shall consider and decide on examination of the observance of the law on the protection of consumers interests in the follow ins cases:

1. When settling consumers denunciations about acts in violation of the law on the protection of consumers interests or other irregular cases of examination of the observance of the law on the protection of consumer interests.

2. Under programs and plans on periodical examination of the observance of die law on the protection of consumers interests worked out by competent authorities according to Article 29 of this Decree.

Article 29. Periodical examination programs and plans

Periodical examination programs and plans are worked out on a yearly basis, identifying requirements, contents, scope, objects and time of examination and must be approved by competent authorities. The formulation and approval of periodical examination programs and plans comply with the following provisions:

1. Ministers and heads of ministerial-level agencies shall direct the formulation of programs and plans on periodical examination of the observance of the law on the protection of consumers interests in branches and domains under their management.

2. Provincial-level Peoples Committee presidents shall direct the formulation and approval of programs and plans on periodical examination of the observance of the law on the protection of consumers interests in localities under their management.

Article 30. Examination decisions

1. If having grounds for conducting examination of the observance of the law on the protection of consumers interests, competent examination agency shall issue examination decisions.

2. An examination decision has the following details:

a) Legal grounds for examination;

b) Contents, requirements and scope of examination;

c) Examination time limit;

d) Members of the examination team; rights and responsibilities of examiners;

e) Rights and obligations of examinees.

Article 31. Rights and responsibilities of examination teams

1. When conducting examination, an examination team has the following powers:

a) To request concerned individuals and organizations to supply necessary information and documents for examination; to request concerned agencies and organizations to nominate persons to join in examination:

b) To suspend acts showing signs of violation of regulations on the protection of consumers interests if deeming that those acts cause hand is or threaten to cause harms to state interests or the lawful rights and interests of agencies, organizations and citizens;

c) To request competent agencies to seize money, objects or means, to suspend or withdraw related certificates if having grounds to believe that there are signs of violations of law which must be promptly prevented and handled;

d) To ask for expert inspection in accordance with law;

e) Other powers as provided for by law.

2. When conducting examination, an examination team has the following responsibilities:

a) To report and request the agency that makes decision on setting up the team to transfer the dossier to the investigation agency in accordance with law, if seeing signs of crime;

b) To report examination results and propose post-examination preventives and handling measures to the agency that makes decision on setting up the team;

c) To keep secret information and documents related to the examination which are supplied by examinees according to law;

d) Other responsibilities as prescribed by law.

Article 32. Rights and responsibilities of organizations and individuals subject to examination

1. In the course of examination, organizations and individuals subject to examination have the

following rights:

a) To reject examination if having grounds to think that it is not conducted in accordance with this Decree and relevant provisions of law;

b) To make recommendations and explanations on contents of examination;

c) To receive examination conclusions:

d) To make complaints or denunciations in accordance with law against law-breaking acts in the examination process;

e) To request compensation for damage caused by handling measures which are taken by examiners in contravention of law.

2. In the course of examination, organizations and individuals subject to examination have the following obligations:

a) To nominate competent persons to work with the examination team or examiners;

b) To promptly supply information, documents and reports at the request of persons assigned to conduct examination and take responsibility before law for the supplied information, documents and reports;

c) To strictly abide by examination requirements, recommendations, decisions and conclusions.

Article 33. Handling of violations

Organizations and individuals committing acts in violation of law on the protection of consumers interests shall, depending on the nature, severity and objects of violations, be administratively sanctioned or examined for penal liabilities; and if causing damage, pay adequate compensation in accordance with law.

Section 3

COORDINATION IN THE PROTECTION OF CONSUMERS INTERESTS

Article 34. Responsibility for coordination in the protection of consumer interests

1. All agencies, organizations and individuals are responsible for conducting and promptly coordinating activities for the protection of consumers interests, supplying all related information upon request of agencies responsible for the protection of consumers interests.

2. Except for emergency cases and unless otherwise prescribed by law, within 5 working days after receiving a written request for coordination from an agency responsible for the protection of consumers interests, the requested agency, organization or individual must respond to the request.

3. Agencies, organizations and individuals requested for coordination that fail to respond or delay the response to the request mentioned in Clause 2 of this Article shall bear responsibility in accordance with law; and pay compensation if causing damage to consumers in these cases.

Chapter 6

IMPLEMENTATION PROVISIONS

Article 35. Implementation effect

This Decree takes effect 15 days after its publication in CONG BAO, replacing the Governments Decree No. 69/2001/ND-CP of October 2, 2001, detailing the implementation of the Ordinance on the Protection of Consumers Interests.

Article 36. Implementation responsibility

1. The Ministry of Industry and Trade shall assume the prime responsibility for, and coordinate with other ministries, branches and organizations in. implementing this Decree.

2. Ministers, heads of ministerial-level agencies and heads of government-attached agencies shall organize the implementation of regulations on the protection of consumers interests in branches and domains under their management.

3. Provincial-level Peoples Committees shall organize the implementation of this Decree in localities under their management.